UNITED STATES OF AME RICA MERIT SYSTEMS PROTEC TION BOARD

SEVGI COOK, Appellant,

v.
DEPARTMENT OF THE AR MY, Agency. DOCKET NUMBER DE

- 0752

- 16

- 0285

- I

- 1

DATE: September 16, 2022



### THIS FINAL ORDER IS NONPRECEDENTIAL 1

Sevgi Cook , Colorado Springs, Colorado, pro se

. Laura A. Smith , Esquire, Fort Carson, Colorado, for the agency.

BEFORE Cathy A. Harris , Vice Chairman

Raymond A. Limon, Member

Tristan L. Leavitt , Member Vice Chairman Harris recused herself and did not participate in the adjudication of this appeal.

FINAL ORDER ¶1 The appellant has filed a petition for review of the initia l decision, which
dismissed her appeal as settled

. Generally, we grant petitions such as this one only in the following circumstances: the initial decision contains erroneous

1 A nonprecedential order is one that the Board has determined does not add significantly to the body of MSPB case law. Parties may cite nonprecedential orders, but such orders have no precedential value; the Board and administrative judges are not required to follow or dis tinguish them in any future decisions. In contrast, a precedential decision issued as an Opinion and Order has been identified by the Board as significantly contributing to the Board’s case law. See 5 C.F.R. § 1201.117 (c).2

findings of material fac t; the initial decision is based on an erroneous interpretation of statute or regulation or the erroneous application of the law to the facts of the case; the administrative judge’s rulings during either the course of the appeal or the initial decision wer e not consistent with required procedures or involved an abuse of discretion, and the resulting error affected the outcome of the case; or new and material evidence or legal argument is available that, despite the petitioner’s due diligence, was not availa ble when the record closed. Title 5 of the Code of Federal Regulations, section 1201.115 ( 5 C.F.R. § 1201.115 ). After fully considering the filings in this appeal, we conclude that the petitioner
has not established any basis under section 1201.115 for granting the petition for review. Therefore, we DENY the petition for review and AFFIRM the initial decision, which is now the Board’s final decision. 5 C.F.R. § 1201.113 (b). However, we FORWARD the appellant’s claims of agency noncompliance with the terms of the parties’ agreements to the Board’s Denver F ield O ffice for docketing as a petition for enforcement.

BACKG ROUND ¶2 The appellant appealed the agency’s action removing her from her position as a Dental Hygienist, GS

- 0682

- 06 , effective April 22, 2016 . I nitial Appeal File (IAF), Tab 1, Tab 4 at 21, 26

- 30 . During the pendency of the appeal, the parties
entered into a settlement agreement , which was fully executed on August 4, 2016

. IAF, Tab 14 . On August 5, 2016, t he administrative judge issued an initial
decision incorporating the settlement agreement into the record and dismissing the appeal. IAF, Tab 17 , Initial Decision (ID). In dismissing the appeal, the administrative judge found: (1) the Board h ad jurisdiction over the appeal; (2) the settlement agreement appeared lawful and freely reached, and the parties fully understood the terms of the agreement ; and (3) the parties moved that the agreement be included in the record for enforcement purposes ; thus , the3

agreement was incorporated into the record , and the Board retained jurisdiction to enforce the agreement . ID at 1

- 2. ¶3 On September 1, 2016, the pa rties executed a document entitled Correction to Settlement Agreement that provided for the correction of p aragraph 7c of the August 4, 2016 settlement agreement , which pertained to a lump sum payment to be made to the appellant

. Petition for Review (PFR) File, Tab 2 at 13

- 14. The parties did not submit this document for incorporation into the record. ¶4 On September 7, 2016, the appellant timely filed a petition for review. PFR File, Tab 1. She alleges that the agency misled her into believing that she would receive the payment and new Standard Form 50 (SF

- 50) set forth in the August 4,
2016 S ettlement A greement (Agreement) by September 2, 2016 , if she signed the September 1, 2016 Correction to Settlement Agreement (Correct ion). Id. at 4

- 5.
She further alleges that the agency has not yet made payment or issued the new
SF

- 50 and thus has not adhered to the agreements. Id. The agency has filed a response opposing the petition for review, to which the appellant has filed a reply. PFR File, Tabs 2, 8

.

DISCUSSION OF ARGUME NTS ON REVIEW ¶5 A settlement agreement is a contract between the parties and its terms are to be interpreted as a question of contract law. Wofford v. Department of Justice , 115 M.S.P.R. 468 , ¶ 6 (2010) . An appellant may challenge the validity of a settlement agreement if she believes it was unlawful, involuntary, or the result of
fraud or mutual mistake. Id. Even if the alleged invalidity was not apparent at the time of settlement, the agreement must be set aside if it is subsequently shown by new evidence that the agreement was tainted with invalidity by fraud or misrepresentation. Id. T he party challe nging the validity of a settlement agreement bears a heavy burden of showing a basis for invalidation. Id. ¶6 If, however, a party is not challenging the validity of the settlement agreement, but believes that the other party has failed to comply with a term of4

the agreement, she may file a petition for enforcement with the regional or field
office that issued the initial decision. McKinney v. Department of Agriculture , 70 M.S.P.R. 165 , 166

- 67 (1996). While the appellant alleges n onc ompliance with the agreement in question, she a lso seeks to have the agreement set aside on the basis of fraud. PFR File, Tab 1 at 4

- 5. Thus, the appellant has stated a ground for the Board to review her submission as a petition for review. McKinney , 70 M.S.P.R. at 167. ¶7 T he Correction was not entered into the record below, nor has either party requested that the Correction be entered into the record. Nevertheless, a party may challenge the validity of a settlement agreement, regardless of whether it has been entered into the record for enforcement, if the party believes that the agreement is unlawful, involuntary, or the result of fraud or mutual mistake. Wade v. Department of Veterans Affairs , 61 M.S.P.R. 580 , 583 (1994). ¶8 Here, the appellant alleges fraud on the part o f the agency in obtaini ng her
consent to the Correction , which modified the original Agreement

. PFR File,
Tab 1 at 4

- 5. “ Fraud in the inducement” is defined as “occurring when a misrepresentation leads another to enter into a transaction with a false impression of the risks, duties, or obligations involved; an intentional misrepresentation of a material risk or duty reasonab ly relied on, thereby injuring the other party without vitiating the contract itself.” Wofford , 115 M.S.P.R. 468 , ¶ 7 (quoting Black’s Law Dictionary 671 (7th ed. 1999))

. To establish that a settlement agreement resulted from fraud in the inducement, the appellant must show that the agency knowingly concealed a material fact or intentionally misled her. Id. ¶9 Having considered the appellant’s allegations on review, we find that the arguments she raised present no basis for setting aside the Agreement or the
Correction. The appellant has not presented any evidence to suggest that the agency knowingly concealed facts or intentionall y misled her about the nature of the Correction or the completion of the agency’s obligations under the Agreement and subsequent Correction.5

¶10 The appellant appears to allege that the agency’s timing in contact ing her to request that she sign the Correctio n shortly before the 30

- day period following the execution of the Agreement ended is circumspect , but she offers no e vidence to show that the agency’s contact was intentional or concealed facts about the Correction or Agreement

. PFR File, Tab 1 at 5. It is undisputed that the agency contacted the appellant to sign the Correction to correct an error in p aragraph 7c of the Agreement regarding the recipient of the payment set forth in the paragraph . PFR File, Tab 1 at 5, T ab 2 at 4

- 5. The record reflects t hat , although a representative for the appellant is listed in this matter , the appellant was not represented by an attorney during th e pendency of the appeal. IAF, Tab 7. T he
Correction modified p aragraph 7c of the Agreement to pay a lump sum to the appellant, rather than to an attorney. PFR File, Tab 2 at 13

- 14. The appellant ha s not provided any evidence to show that the agency contacted her to sign the Correction for any reason other than to r ectify the error in the Agreement as set
forth in the Correction. PFR File, Tabs 1, 8. ¶11 The appellant also asserts that the agency led her to believe that the Correction changed the recipient of the payment but not the date of payment (purportedly Septem ber 2, 2016) set forth in p aragraph 7c of the Agreement , but it did not intend to provide payment by the agreed

- upon date

. PFR File, Tab 1

at 4

- 5. The appellant has not provided any evidence to establish that the agency made such a representation. PFR F ile, Tabs 1, 8. Moreover, the terms of the Correction are unambiguous in modifying the time frame in the Agreement with respect to payment in p aragr aph 7c . PFR File, Tab 2 at 14. In construing a settlement agreement, the Board will first consider the te rms of the agreement itself, which are of paramount importance in determining the intent of the parties at the time they contracted. Harris v. Department of Veterans Affairs , 99 M.S.P.R. 609 , ¶ 4 (2005). The Board will only examine e xtrinsic evidence i f the terms of the agreement are ambiguous, meaning they are susceptible to more
than o ne reasonable interpretation. Id. The Corre ction sets forth that the6

agency’s obligations under p aragraph 7c of the Agreement are corrected to: “[w] ithin 30 calendar days of this Correction to the Settlement Agreement , initiate paperwork to pay the Appellant a lump su m of $15,000[.]” PFR File,
Tab 2 at 13

- 14. The Correction further provides that all other terms of the Agreement remain in effect. Id. at 13. Accordingly, the Correction is unambiguous in providing for 30 days following the date of the Correction to initiate paperwork to make the payment, and we cannot find that the appellant was misled when she executed the Correction providing for such a time frame for payment. ¶12 The appellant’s argument is also based on the premise that the agency was to complete payment and issuance of a new S F

- 50 within 30 days of the date of the Agreement; however, the language of the Agreement does not support this interpretation. IAF, Tab 14 ; PFR File, Tab 1 at 5 . The Agreement plainly states that the agency was obligated to take the following actions as to payment and
issuance of a new SF

- 50: (1) “[w]ithin 30 calendar days of this agreement, initiate paper work to cancel the Appellant’s Removal SF

- 50 . . . and issue a new
SF

- 50” ; (2) “[w]ithin 30 calendar days of this agreement, initiate paperwork to

pay the Appellant all wage payments from date of cancelled removal to date of voluntary resignation”; and (3) “ [w]ithin 30 calendar days of this agreement, initiate paperwork to pay the appellant a lump sum of $15,000[.]” IAF, Tab 14,

at 2

- 3. The U.S. Court of Appeals for the Federal Circuit (Federal Circuit) in
Brown v. General Services Administration , No. 2021

- 1996, 2022 WL 2354499,

at *2 (Fed. Cir. June 30, 2022), recently agreed with the Board’s interpretation of
the word “initiate , ” finding that a provis ion in a settlement agreement requiring
the agency to “initiate payment ” required the agency to take steps to initiate payment, not complete it. Relying on the Merriam Webster Collegiate Dictionary
definition of the term “ initiate ,” the Federal Circuit ex plained that “[t]he normal meaning of initiate is to begin, not to complete.” Brown , 2022 WL 2354499,

at *2 . Thus, because the agency had taken steps to initiate the payment, the7

Federal Circuit agreed with the Board that the agency had not materially breached the settlement agreement by failing to complete the payment within the proscribed timeframe

. 2 Id

. at *2

- 3

. ¶13 Similarly, here w e find that the unambiguous terms of the Agr eement do not mandate completing payment or issu ing the SF

- 50 by the date specified by the appellant. 3 Id. ; PFR File, Tabs 1, 8. Accordingly, the appellant cannot show that the agency induced her to sign the Correction based on a misrepresentation that the agency would still complete its obligations unde r the Agreement when she was not entitled to completion by September 2, 2016 , under the original Agreement. Brown , 2022 WL 2354499, at *2

- 3; PFR File, Tabs 1, 8. ¶14 Finally, the appellant asserts that the delay in the agency’s compliance with the agreement s shows that the agency induced her to sign the Correction when it
did not intend to adhere to the time frames for co mpliance. PFR File, Tab 1 at 5.
As set forth above, the appellant’s understanding of the time frame for the agency’s compliance with the Agreement and Correction is faulty. A ssuming, however, that the agency did not comply with the time frames in the Agreement and Correction, and thus may have breached the agreements, the mere fact of noncompliance is insufficient on its own to establish t hat the agency did not
intend to comply with the time frames and that it knowingly concealed a material fact or intentionally misled the appellant

. Wofford , 115 M. S.P.R. 468 , ¶ 8.
Therefore , the appellant has not presented sufficient evidence or argument to support her assertion that the agency fraudulently induced her to sign the
Correction.

2 The Board may follow a nonprecedential decision of the Federal Circuit when it finds its reasoning persuasive. Morris v. Department of the Navy , 123 M.S.P.R. 662 , ¶ 13 n.9 (2016).

3 To the extent the appellant misunderstood the terms of completion of the agency’s obligations under the Agreement, the mistake appears to be one

- sided. Unilateral mistakes are not a basis for finding a settlement agreement invalid. Pawlowski v. Department of Veterans Affairs , 96 M.S.P.R. 353 , ¶ 15 (2004).8

¶15 In her reply to the agency’s response, the appellant also raises new allegations that she did not fully understand the language of the Agreement and
that she was under a doctor’s care and under physi cal and emotional stress when she executed the Agreement. PFR File, Tab 8 at 5

- 6. However, our regulations provide that a party may not raise new allegations of error in a reply; thus, we do not consider any new allegations first raised in the appellant’ s reply

. 5 C.F.R. § 1201.114 (a)(4) ; see Boston v. Department of the Army , 122 M.S.P.R. 577 , 580 n.3 (2015) (declining to consider new arguments first raised in a reply brief)

. ¶16 Accordingly, we find no basis on which to invalidate the Correction or Agreement , and we deny the petition for review and affirm the initial decision.
We forward the appellant’s allegations of noncompliance with the parties’ agreements to the field office for docketing as a petition for enforcement. McKinney , 70 M.S.P.R. at 167.

NOTICE OF APPEAL RIG HTS 4 You may obtain review of this final decision. 5 U.S.C. § 7703 (a)(1). By statute, the nature of your claims determines the time limit for seeking such review and the appropriate forum with which t o file. 5 U.S.C. § 7703 (b). Although we offer the following summary of available appeal rights, the Merit Systems Protection Board does not provide legal advice on which option is most appropriat e for your situation and the rights described below do not represent a statement of how courts will rule regarding which cases fall within their jurisdiction. If you wish to seek review of this final decision, you should immediately review the law applica ble to your claims and carefully follow all filing time limits and requirements. Failure to file within the applicable time limit may result in the dismissal of your case by your chosen forum.

4 Since the issuance of the initial decision in this matter, the Board may have up dated the notice of review rights included in final decisions. As indicated in the notice, the Board cannot advise which option is most appropriate in any matter.9

Please read carefully each of the three main possible choice s of review below to decide which one applies to your particular case. If you have questions about whether a particular forum is the appropriate one to review your case, you
should contact that forum for more information.

(1) Judicial review in general

. As a general rule, an appellant seeking judicial review of a final Board order must file a petition for review with the U.S. Court of Appeals for the Federal Circuit, which must be received by the court
within 60 calendar days of the date of issuance of this decision. 5 U.S.C. § 7703 (b)(1)(A). If you submit a petition for review to the U.S. Court of Appeals for the Federal Circuit, you must submit your petition to the court at the following add ress: U.S. Court of Appeals for the Federal Circuit 717 Madison Place, N.W. Washington, D.C. 20439 Additional information about the U.S. Court of Appeals for the Federal Circuit is available at the court’s website, www.cafc.uscourts.gov. Of particu lar
relevance is the court’s “Guide for Pro Se Petitioners and Appellants,” which is contained within the court’s Rules of Practice, and Forms 5, 6, 10, and 11. If you are interested in securing pro bono representation for an appeal to
the U.S. Court of Appeals for the Federal Circuit, you may visit our website at http://www.mspb.gov/probono for information regarding pro bono representation for Merit Systems Protection Board appellants before the Federal Circuit. The Board neither endorses the services p rovided by any attorney nor warrants that any attorney will accept representation in a given case.

(2) Judicial or EEOC review of cases involving a claim of
discrimination . This option applies to you only if you have claimed that you10

were affected by an action that is appealable to the Board and that such action was based, in whole or in part, on unlawful discrimination. If so, you may obtain judicial review of this decision

— including a disposition of your discrimination
claims

— by filing a civil action with an appropriate U.S. district court ( not the U.S. Court of Appeals for the Federal Circuit), within 30 calendar days after you
receive this decision. 5 U.S.C. § 7703 (b)(2); see Perry v. Merit Systems
Protection Board , 582 U.S.

____ , 137 S. Ct. 1975 (2017). If you have a representative in this case, and your representative receives this decision before you do, then you must file with the district court no later than 30 calendar days after your representative receives this decis ion. If the action involves a claim of discrimination based on race, color, religion, sex, national origin, or a disabling condition, you may be entitled to representation by a court

- appointed lawyer and to waiver of any requirement of prepayment of fees, costs, or other security. See
42 U.S.C. § 2000e

- 5 (f) and 29 U.S.C. § 794a

. Contact information for U.S. district courts can be found at their respective websites, which can be accessed through the link below: http://www.uscourts.gov/Court_Locator/CourtWe bsites.aspx

. Alternatively, you may request review by the Equal Employment Opportunity Commission (EEOC) of your discrimination claims only, excluding
all other issues

. 5 U.S.C. § 7702 (b)(1). Y ou must file any such request with the EEOC’s Office of Federal Operations within 30 calendar days after you receive
this decision. 5 U.S.C. § 7702 (b)(1). If you have a representative in this cas e, and your representative receives this decision before you do, then you must file
with the EEOC no later than 30 calendar days after your representative receives
this decision. If you submit a request for review to the EEOC by regular U.S. mail, the
ad dress of the EEOC is:11

Office of Federal Operations Equal Employment Opportunity Commission P.O. Box 77960 Washington, D.C. 20013 If you submit a request for review to the EEOC via commercial delivery or by a method requiring a signature, it must be addressed to: Office of Federal Operations Equal Employment Opportunity Commission 131 M Street, N.E. Suite 5SW12G Washington, D.C . 20507
(3) Judicial review pursuant to the Whistleblower Protection
Enhancement Act of 2012 . This option applies to you only if you have raised claims of reprisal for whistleblowing disclosures under 5 U.S.C. § 2302 (b)(8) or other protected activities listed in 5 U.S.C. § 2302 (b)(9)(A)(i), (B), (C), or (D). If so, and your judicial pet ition for review “raises no challenge to the Board’s disposition of allegations of a prohibited personnel practice described in section 2302(b) other than practices described in section 2302(b)(8), or 2302(b)(9)(A)(i), (B), (C), or (D),” then you may file a petition for judicial review either with the U.S. Court of Appeals for the Federal Circuit or any court of appeals of competent jurisdiction. 5 The court of appeals must receive your petition for
review within 60 days of the date of issuance of this deci sion. 5 U.S.C. § 7703 (b)(1)(B).

5 The original statutory provision that provided for judicial review of certain whistleblowe r claims by any court of appeals of competent jurisdiction expired on December 27, 2017. The All Circuit Review Act, signed into law by the President on July 7, 2018, permanently allows appellants to file petitions for judicial review of MSPB decisions in certain whistleblower reprisal cases with the U.S. Court of Appeals for the Federal Circuit or any other circuit court of appeals of competent jurisdiction. The All Circuit Review Act is retroactive to November 26, 2017. Pub. L. No. 115

- 195, 132 Stat. 1 510.12

If you submit a petition for judicial review to the U.S. Court of Appeals for the Federal Circuit, you must submit your petition to the court at the following add ress: U.S. Court of Appeals for the Federal Circuit 717 Madison Place, N.W. Washington, D.C. 20439 Additional information about the U.S. Court of Appeals for the Federal Circuit is available at the court’s website, www.cafc.uscourts.gov. Of particu lar
relevance is the court’s “Guide for Pro Se Petitioners and Appellants,” which is contained within the court’s Rules of Practice, and Forms 5, 6, 10, and 11. If you are interested in securing pro bono representation for an appeal to
the U.S. Court of Appeals for the Federal Circuit, you may visit our website at http://www.mspb.gov/probono for information regarding pro bono representation for Merit Systems Protection Board appellants before the Federal Circuit. The Board neither endorses the services p rovided by any attorney nor warrants that any attorney will accept representation in a given case. Contact information for the courts of appeals can be found at their respective websites, which can be accessed through the link below: http://www.uscourts.gov/Court_Locator/CourtWebsites.aspx

.

FOR THE BOARD:

Washington, D.C. /s/ for Jennifer Everling Acting Clerk of the Board